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Both Compagnie Generale des Etablissement Michelin of France and Bridgestone Corp. of Japan keep closely guarded recipes that they are constantly improving for Formula One racing tires. Which tire company makes the fastest tires is a matter of great contention and prestige and translates into sales of regular tires.

The Paris stock exchange is a success, outperforming the United States and most European markets this year. According to the CAC Index, the securities market is up 19 percent and foreign investment market capitalization is 44 percent up from 33 percent in 1997.

France has moved to protect strategic companies from foreign acquisition with a list of ten sectors. While thwarting foreign investment, it's domestic sector is strengthening through foreign acquisitions. Compagnie de Saint-Gobain S.A. of France bid 3.68 billion Pounds ($6.57 billion) in a hostile takeover attempt of plasterboard manufacturer BPB PLC of the United Kingdom.

Despite the fact that the French government is only officially allowed to prevent takeover bids from taking place in industries that are linked to national defense and security, government officials and politicians are speaking out against a bid expected from U.S.-based PepsiCo Inc. for purchase of the French food and beverage giant Danone S.A. The position of European antitrust commissioner Neelie Kroes on the issue of government intervention to prevent acquisitions by foreign bidders in European countries, is discussed.

Finance Minister Thierry Breton of France is under investigation as former director of Rhodia S.A., the specialty chemicals company in what has come to be called 'Rhodiagate'. The company is in litigation with Hughes de Lasteyrie concerning a $37.7 million investment loss and was also in litigation with Edouard Stern for an investment loss of 60 million Euro. Mr. Stern was murdered by his mistress in February 2005.

BNP Paribas S.A. of France is to acquire the mortgage lender, Commercial Federal Corp. of the United States for $1.36 billion. The financial trend in European banks is to consolidate through acquisitions to increase revenue.

The French populace has voted 55 percent against the proposed European Union's new constitution in a national referendum. The vote has paralysed five decades of movement toward a pan European government. France's decline to join the European Union may hinder entery talks for Turkey.

AXA S.A., the global insurance giant is planning to securitize some of its automobile policies in the French market, this management move could set a precedent for European Union's insurance industry. AXA S.A. is in discussion with French authorities. European Union securitizations for 2004 totaled approximately $250 billion Euro and in the United States approximately $625 billion according to J.P. Morgan research.

Carlos Ghosn is to be the Chief Executive Officer of both Regie Nationale des Usines Renault of France and Nissan Motor Company Ltd. of Japan. Regie Nationale des Usines Renault shares have increased 50 percent since the beginning of 2003 and the announcement that Carlos Ghosn is returning as Chief Executive Officer. The French labor union, Conderation Generale du Travail is bracing, concerned that there may be layoffs and the automobile company is expecting a shakeup.

French financier Edouard Stern of Lazard Brothers and Company Ltd., was murdered by his mistress Cecile Brossard in February of 2005. The tumultuous relationship came to a head when $1 million delivered to Ms. Brossard's bank account for a set of Chagall paintings was frozen by Mr. Stern.

Euro Disneyland S.C.A. the French theme parks operator has been aided with a financial bailout by the French government and Walt Disney Co.

France's Autorite des Marches Financiers has launched an investigation of Vivendi Universal S.A. Alleged improper trading in the form of a convertible-bond issue by four British hedge funds is a wake up on premarketing deals.

France's Financial Services Authority is investigating the trading activities of four British hedge funds particularly a Vivendi Universal S.A. bond offering.

Saudi Arabian prince Alwaleed bin Talal, already a major shareholder in French theme-park operator Euro Disneyland S.C.A., has announced that he will buy as much as $32.7 million worth of new shares in the company. The infusion of capital that his purchase will represent for Euro Disney is expected to keep the financially ailing company from having to seek financial rescue.

Regie Nationale des Usines Renault is to shuffle it's top executive in advance of Carlos Ghosn's return as chief executive officer.

Michel David-Weill and Bruce Wasserstein are said to be approaching a compromise on Wasserstein's plan to float the historically private investment firm on the New York Stock Exchange. David-Weill, the chairman of the firm, approved the initial public offering in October, but only under the condition that Wasserstein, Lazard's operational head, should resign if the offer had not been made by the end of June 2005. It is expected that David-Weill is now readying to alter those conditions, pushing back the deadline to the end of March 2006.

200-year-old Rothschild Bank is still run by a wealthy European family. The global investment bank is ranked fourth among merger and acquisition advisors in Europe, and is in the top ten worldwide, ahead of such giants as J.P. Morgan Chase and Co. and Citigroup Inc. While some observers suspect that the bank will not be able to hold its own against competitors without going public, Baron David de Rothschild, the company's French chairman and major shareholder, believes it can.

Michel David-Weill, Chairman of the Board at Lazard Brothers and Company Inc. and a descendant of one of the company's founding families, has stated publicly that he would not oppose a plan for the investment bank to launch an initial public offering. However, in a letter to Bruce Wasserstein, the Lazard executive behind the plan, David-Weill has added that his approval comes with the stipulation that Wasserstein resign from the company if the initial public offering fails or doesn't take place by June 30, 2005. The communication is the most recent chapter in an ongoing dispute between the two company officials.

Bruce Wasserstein, head of investment bank Lazard Freres and Company L.L.C., faces opposition from a group of the bank's partners to his plans to make a public stock offering. Designed as part of a plan to end infighting among Lazard executives, the initial public offering was meant to provide funding so that the company could buy out its retired partners who, under current arrangements, continue to recieve dividends from the firm even though they are no longer working .

Euro Disneyland S.C.A. seeks approval from creditors for crucial debt restructuring. Though the theme park operator manages Europe's number one tourist attraction, it is struggling to turn a profit. It is feared that without approval from its creditors, the company may forced to fil e for bankruptcy.

Vivendi Universal S.A. and Lagardere Groupe S.A. hold discussions of a possible merger. Observers feel that despite the discussions, a merger is highly unlikely, one reason being that Arnaud Lagardere, chairman of the Lagardere Groupe and son of the company's founder, would be obliged to give up his control in the workings of the company following a merger.

Renault S.A. and Nissan Motor Co. continue to strengthen their alliance via increased cooperation and the adoption of a single shared chief executive officer, Carlos Ghosn from Nissan. Ghosn is credited with the turnaround of that company.

Announcements of oil reserve overstatements by Royal Dutch-Shell Group of Cos. has not yet negatively affected investor behavior. While stocks dropped the day of the announcement, some company units have since risen. Investors say the crisis is on a much smaller scale when compared to the likes of Enron Corp., and believe the resultant dismissal of certain executives will foster a turnaround.

BNP Paribas S.A. is seeking retail financial services acquisition targets in Europe and in the U.S. The company is looking for such targets outside of France.

France's AXA S.A., which is a major asset management and insurance company, has appointed Nicolas Moreau as chief executive officer of AXA Investment Managers. Mr. Moreau previously was a top investment managerial assistant to AXA chief executive officer Henri de Castries.

French banks Credit Agricole S.A. and Credit Lyonnais have agreed to a merger that would make the new bank Europe's third largest. The move is expected to help the merged bank acquire more assets in other European nations.

The merger between Credit Lyonnais and Credit Agricole S.A. could bring about cross-border consolidation in the banking industry. The merger is valued at 19.5 billion euros.

Credit Agricole S.A.'s bid to acquire Credit Lyonnais S.A. has been approved by the former's board of directors. Agricole's 19.5 billion euros bid was a major setback for BNP Paribas S.A., which is also trying to acquire Lyonnais.

BNP Paribas S.A. said it was only interested in acquiring a minority share of Credit Lyonnais as it attempted to quell fears of a bidding war. BNP Paribas said it would only acquire 20% of Credit Lyonnais at the most.

BNP Paribas is considering acquiring a larger share of Credit Lyonnais. BNP currently owns 16.3% of Lyonnais. BNP, in considering such a move, wants to avoid any problems with French banking authorities.

The government of France has sold off its minority share in Credit Lyonnais S.A. to BNP Paribas S.A. in a deal valued at 2.2 billion euros. BNP acquired the government's 10.9% share in Credit Lyonnais.

Credit Lyonnais SA posted a fall of 27% in its net earnings to 145 million euros for the 2002 third-quarter. Societe Generale SA posted a 63% fall in its quarterly net profits to 146 million euros.

Vivendi Universal SA mulls selling its its publishing unit.

Advice on investing in government bonds is presented.

BNP Paribas S.A.'s chairman and chief executive, Michel Pebereau, wants to transform his bank into a equally-sized rival of Citigroup Inc. in Europe. Pebereau hopes Paribas will become an entity that will sell numerous products throughout the European market. He is ready to carry out another major purchase in order to attain that goal.

Germany's Consors Discount-Broker AG will be acquired by France's BNP Paribas S.A. for just under Euro 500 million. BNP Paribas, which will become Europe's top online personal savings company after the deal is completed, is preparing to launch an offering on Germany's Frankfurt stock exchange.

Cortal S.A., France's online broker, will be announcing on Friday that it made Euro7.7 million in pretax profit for 2001. Although there is currently a slump in online investing, the broker reaped benefits from management fees originated by the mutual funds it sells.

AXA S.A. posted a decline of almost 50% in profits for the 2001 year. The company, hurt by dropping share prices and claims cost emanating from the September terrorist attacks in the U.S., posted 1.2 billion euros in profits for the year. However, AXA is expecting to reach its growth targets for the 2002 year.

Zurich Financial Services posted lower-than-forecasted results for the 2001 year. The results raised concerns about the profitability of the company's main insurance operations. Zurich posted a $387 million (443 million euros) net loss for the year, compared to a $2.3 billion net profit in 2000.

The French government is cracking down on money laundering by rounding up top bank officials for questioning, including executives from Societe Generale SA and the director general of Bred Banque Populaire, Francois Xavier de Fournas.

Societe Generale S.A.'s chairman, Daniel Bouton, was questioned by French police as part of a money laundering investigation. Bouton, as well as chief executive Philippe Citerne and another executive were questioned about a suspected money laundering scheme operating between Israel and France.

AXA S.A. is forecasting a more than 50% decline in profits for the 2001 year. The company, which blamed the forecast on the struggling stock market, reduced revenues, and the September 11 terrorist attacks, forecasted 1.2 billion euros in earnings for 2001.

BNP Paribas plans further acquisitions, but feels it will have difficulty finding targets like United California bank in Europe.

Credit Agricole is planning to list its shares on the Paris stock exchange. The company plans to list 30% of its shares.

French financial firm Caisse des Depots et Consignations and the savings bank Caisse d'Epargne plan to announce a banking alliance today worth Euro17 billion in shareholder funds. The combined group will become the third-largest contender in the French banking market.

The article discusses how Europe is trying to contain the outbreak of foot-and-mouth disease, by preventing it from leaving the U.K. Germany and France will slaughter thousands of potentially infected livestock. Eurotunnel announced it would disinfect vehicles arriving from the U.K.

Vivendi SA's proposed acquisition of Seagram Co. has raised concerns among investors. Some investors are awaiting clarification of the new management structure and the future of the Vizzavi joint venture, among other questions.

Credit Lyonnais S.A.'s planned merger with Credit Agricole S.A. is being investigated by the French bank regulating agency. Regulators are studying the possible impact of the merger on other French banks.

The board of Credit Lyonnais S.A. said it would engage in further discussions with Credit Agricole over a possible merger. The announcement is setback for BNP Paribas S.A., which owns 10.9% of Credit Lyonnais.

Credit Agricole S.A. is expected to announce that it has acquired an additional share of 3.35% in Credit Lyonnais. The expected announceemnt would raise Credit Agricole's share in Credit Lyonnais to more than 15%.